Gov’t Targets Affordable Tourism Financing to Spur Investment and Sector Growth
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By John Kariuki
The Ministry of Tourism and Wildlife is taking bold steps to address one of the most pressing hurdles in Kenya’s tourism sector: limited access to affordable finance.
Speaking during a high-level breakfast meeting with the Kenya Association of Hotel Keepers and Caterers, Cabinet Secretary Rebecca Miano announced plans to establish a dedicated funding window within the Kenya Development Corporation (KDC) for tourism investors.
“Since the merger of the Tourism Finance Corporation into KDC, investors have struggled to access concessionary loans tailored for tourism,” CS Miano said. “We are fully aware of this gap and are working with the National Treasury to introduce a financing mechanism that directly supports sector-specific needs.”
The proposed window aims to revive affordable credit options, enabling players to renovate existing facilities and drive new investment—especially among SMEs, which form the backbone of the hospitality industry.
Miano also emphasized the importance of unlocking domestic capital. “There’s untapped potential among local investors. We must encourage Kenyans to see tourism as a viable, high-impact investment avenue,” she stated.
To support this, the Ministry is exploring innovative models such as blended finance and public-private investment funds, with a focus on infrastructure development and SME support.
The Cabinet Secretary also highlighted Meetings, Incentives, Conferences, and Exhibitions (MICE) tourism as a key growth area, noting upcoming plans to expand Bomas of Kenya and introduce new convention facilities in Mombasa and Kisumu.
On the international front, Miano pledged an aggressive global marketing strategy targeting both traditional and emerging source markets. She cited niche segments such as adventure, medical, and cruise tourism as areas of focus, alongside the rollout of a visa-free Africa policy and opportunities under the African Continental Free Trade Area (AfCFTA).
“We must pitch for global events, refresh our product offerings, and ensure sustainability is at the heart of everything we do,” she concluded.
With financing, infrastructure, and marketing firmly in focus, the Ministry’s renewed push signals a clear path toward revitalizing Kenya’s tourism sector.
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